the future of halaal tourism: challenges and opportunities...umrah, a visit for business, sports or...

African Journal of Hospitality, Tourism and Leisure, Volume 9(2) - (2020) ISSN: 2223-814X

Copyright: © 2020 AJHTL /Author/s- Open Access- Online @ http//: www.ajhtl.com

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The future of Halaal tourism: Challenges and Opportunities

Sultan Jasem Sultan*

Department of Economics Faculty of Administration and Economics

University of Karbala, Karbala, Iraq Email: [email protected]

Hussein Ali Abed Department of Banking and Financial Sciences

Imam Al-Kadhum College (IKC) Najaf, Iraq

Abdulwahab M. Jawad AL.Musawi

Department of Economics Faculty of Administration and Economics

University of Kufa, Najaf, Iraq

Corresponding author*

Abstract

The strong and growing growth in the Islamic economy has led to an increase in demand for Halaal products compliant with Islamic law. This has been reflected in the crystallization of a new type of tourism patterns, called Halaal Tourism (Islamic Tourism), which has emerged during the last ten years as one of the strongest patterns tourism particularly in the Organization of Islamic Cooperation, and is one of greatest motivations for the economic growth. In this context this research study sought to provide a comprehensive explanation of Islamic tourism and its future prospects, as well as the current developments of Halaal tourism markets at the international level.

Keywords: Halaal tourism, Islamic tourism, Muslim friendly tourism, Halaal travel.

Introduction Tourism is one of the most important sources of income for many countries (developing and developed), and one of the largest and fastest-growing industries, some call it the 21st century industry or its ‘oil’. Tourism is currently an important source and head of the provision of financial revenues and foreign exchange for many nations, and it is one of the activities that contributes effectively to increased GDP, and is a key driver of growth and economic development. It is also an essential factor and a vital tool for social and cultural communication between different peoples and nations. On the other hand, tourism is a multi-directional and interlocking industry with all economic activities, both directly and indirectly, as well as one of the main pillars of green economy growth. Given the current development and progress that is taking place in the world it is clear that this sector has become very important in the economy through direct and indirect effects along with the induced effects. Its characteristics of sustainability, low cost and its strong impact on other economic sectors, is invaluable (Al-Wattar, Almagtome, & AL-Shafeay, 2019; Ali, Almagtome & Hameedi, 2019). The tourism sector is affected and influenced by financial services, environmental services, transport and trade services, telecommunications services, business

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services and other sector services. In line with the significant growth in the Islamic economy, Halaal tourism has emerged as one of most rapidly growing and developed Islamic sectors, and according to the State of the Islamic World Economy 2018 report, the Islamic travel market in 2017 grew by 11.8%, nearly double the global travel market has grown, and market spending has increased by $10 billion annually, reaching $177 billion in 2017, and revenue is expected to reach about $300 billion by 2030, making it one of most rapidly growing sectors in the industry. thus, the problem of study is that although promising advances and growth in Islamic tourism, this market remains fragmented and faces several challenges and obstacles that limit its increased contribution to economic development. The paper aimed to highlight Islamic tourism as a recent trend in the tourism industry, analyzes its patterns, as well as discussing the most prominent problems facing the development of Halaal tourism, and the opportunities it offers for growth, development and economic prosperity are unpacked.

Nature of Islamic Tourism (Halaal) Tourism is a means of entertainment, relaxation and recreation, an activity of economic, cultural and social dimensions in the lives of nations and peoples, and has developed and grown and played a role in driving economic growth and the development and progress of countries. It also affects their cultural and social position of supporting human relations: culture and the convergence of peoples and nations. Tourism as an ancient phenomenon, known to man since its inception, and it is likely that the first known trip was by the Egyptian Queen (Hatshepsut) in 1490 BCE to Punt land, which is believed to be present-day Somalia. This was then the first known trip for the purpose of tourism known. In Egypt, under the Pharaohs travel to attend religious ceremonies and visit temples, as well as the Empires of Persia, Babylonia, Assyria, India and the Chinese empires was common. The Phoenicians are also famous for their commercial cruises, and ancient Greeks were known for traveling to attend the Olympic Games in 776 BCE, and Greek travelers also arrived in Egypt. The Romans were interested in the construction of roads that helped in the movement of tourism to visiting temples, theatres, the Olympic games and celebrations in Europe. The experience of the Greek and Roman empires has established the principle of the link of tourism with well-being and improved standards of living, stability and

security (Zamani‐Farahani & Henderson, 2010). According to the World Tourism Organization

(WTO), tourism involves the activities of people traveling to places outside their normal environment for a period of one year for recreation, company and other purposes. It is not linked to the exercise of paying operations from within the place visited. Therefore it consists of a short-term movement of people to destinations outside their usual environment and activities, and tourism is inherently linked to three types of events: A day away from home, leisure travel and holidays. Changes will invariably arise from the need to meet and exceed the requirements of travellers to holy sites as consumers. Religious pilgrimage tourism is designed to meet the need for spirituality arising out of a highly secular global society and is laden with great personal spiritual and also figurative meanings (Nicolaides, 2016). Islam has paid particular attention to tourism, and there is mention of travelers in the Holy Quran and the Prophet's Sunnah. The Creator says, "There is a great time in the world” (disassociation, from Allah and His Messenger to those with whom you had made a treaty among the polytheists [1] So travel freely, [O disbelievers], throughout the land [during] four months but know that you cannot cause failure to Allah and that Allah will disgrace the disbelievers. In other verses, (Such believers are] the repentant, the worshippers, the praisers [of Allah ], the travelers [for His cause], those who bow and prostrate [in prayer], those who enjoin what is right and forbid what is wrong, and those who observe the limits [set by] Allah . And give good tidings to the believers)[112].




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Islam urges us to journey and travel. Allah has commanded us to walk the earth and take lessons from his creation. This is reflected in the saying of the Almighty (Say, [O Muhammad], "Travel through the land and observe how He began creation. Then Allah will produce the final creation. Indeed Allah, over all things, is competent. The Arab region, particularly the Levant, Egypt and Iraq, has witnessed many trips (commercial, scientific, religious, cultural, therapeutic and others), some of which have been mentioned in the Holy Quran, including the winter and summer journey, as the Almighty says in Sura Quraish (For the accustomed security of the Quraysh [1] Their accustomed security [in] the caravan of winter and summer [2] Let them worship the Lord of this House [3] Who has fed them, [saving them] from hunger and made them safe, [saving them] from fear[4])). The early definitions of Islamic tourism have focused on religious tourism, such as visiting Muslim shrines and religious monuments, religious monuments for Christians, Jewish religious monuments scattered in some countries of the world, and other religious landmarks., such as for example Buddhist and Hindu temples. But in light of the major developments in the world economy, the growth of the Islamic economy and the extensive spread of the faith, and after receiving the attention and awareness of the Halaal concept, there are now some 1.6 billion Muslims in 200 countries making up 23% of the world's population (62.1% of whom live in the Asia region The Pacific, 19.9% in the Middle East and North Africa, 15.0% in sub-Saharan Africa, 2.7% in Europe, and 0.3% in the USA). Muslims are expected to make up approximately 26.4% of the world's total population by 2030, and those interested in tourism have expanded this concept to include Halaal tourism, which is in accordance with the teachings of Islam and adheres to Islamic law. With increased awareness and increased numbers of Muslim tourists, many players in the tourism industry have begun to provide special products and services developed and designed in accordance with Islamic principles, to meet the needs of and the requirements of these tourists. Islamic tourism (Halaal)1 is not limited to visiting religious shrines only, but includes doing business, visiting relatives and friends, exercising, treating, etc., and pursuing personal goals and activities such as shopping and education, as well as visits (Hajj, Umrah, etc.) as long as the main concern of the travel plan is not contrary to the principles of Islamic law. Thus, Islamic tourism (Muslim-friendly) is a combination of religious tourism, spiritual tourism, cultural tourism and leisure tourism, adding a moral dimension to tourism and a new view of life and society, and achieving understanding and dialogue between different nations and civilizations. Islamic tourism is unique by adhering to Islamic values during travel activities without giving up the desire to have fun, and thus Islamic tourism is characterized by its characteristics of flexibility, simplicity and balance. The flexibility indicates that the purpose of travel is not fixed, as Islam allows many travel purposes, as long as the main concern of the intention to travel does not conflict with Islamic law. Moreover, tourists must be rational in making decisions about the destination and activities and the ‘right person’ to accompany them while traveling. Islam encourages tourism and provides an excuse for the comfort of travelers, for example, Islam allows tourists to shorten prayers and iftar during Ramadan, so rest in worship and shortening the duties of Muslims, leads to strengthening the relationship between man and his Lord, and then achieving happiness in the lower house and in the hereafter (Suid, Nor & Omar, 2017). Islamic tourism (Halaal tourism) can be defined as Muslim tourism activities that arise from Islamic motives and are achieved in accordance with Islamic law, and these activities can be within the scope of Hajj, Umrah, a visit for business, sports or anything else (Duman, 2012).

1 The concept of Islamic tourism first appeared in 2000 during the Meetings of the Organization of Islamic Cooperation, which proposed travel and tourism activity within Islamic countries in order to generate income, increase employment opportunities and achieve economic development




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Islamic tourism is the activities of Muslims who travel or reside in places outside their usual environment for more than one year to participate in those activities arising from Islamic motives that are not related to the practice of paid activity within the visited place. This definition of Islamic tourism is different from the general definition of tourism in that it distinguishes participants as Muslims as opposed to non-Muslims (Özgür, 2014). Islamic tourism can thus be seen as an economic, cultural and religious concept. The economic concept includes the inclusion of new markets and tourist destinations through which revenues can be increased, jobs and investment swelled, while the cultural concept of Islamic tourism is the preservation of heritage. The original Islamic, as well as the visions and ideas that define the inclusion of cultural sites, and directing tourist trips towards Islamic, heritage, historical and cultural sites that reflect the true image of Islam are important. The religious concept based on the conservative interpretation and understanding of Islam, can integrate the elements of the Islamic lifestyle, which is very conservative in the modern tourism industry, and it offer new options, spaces and tourist areas and for a conservative and sustained tourism market that has a positive economic and social impact (Zain, Muhamad, Yaacob, & Ahmad, 2017). The demand side of Islamic tourism consists of the reasons and motives of travel, and four main reasons for travel, are religious, leisure, business and medical travel. The vast majority of Muslim travel is for entertainment (including visits to friends and relatives, which account for about 75% of travel, religious travel accounts for about 10% of all Muslim visitors, business travel is about 9 to 10%, while travel for medical reasons or health care is less than 1% in the Islamic travel market. On the supply side, supply-side themes refer to hospitality services and facilities including transport stations, transport services, accommodation and attractions, activities, travel agents, tour operators, human capital and destinations as a whole (Tourism, 2016). Halaal tourism components Islamic tourism in its main components such as hotels, restaurants, transport, logistics, finance and tours is no different from those of its traditional counterparts, but the valuation of tourism products in the case of Islamic tourism involves a completely different process because of the requirements of Islam. These requirements are to adhere to the principles of Islamic law and at its most basic level, "prohibit adultery, gambling, consumption of pork and other forbidden foods, drinking alcohol and wearing inappropriate clothing”. Moreover, the Muslim is expected to typically say five prayers imposed on him in clean environments and fasts during Ramadan, and in Islamic teachings, Muslims are also supposed to avoid unnecessary consumption and waste (Zamani-Farahani & Eid, 2016). Therefore, religious needs have been identified as the main areas and components of Muslim travelers, and while the majority of Muslim travelers adhere to some of these needs, the level of importance varies from tourist to tourist, and these components are stated below (Eddahar, 2018): 1-Halaal Accommodation and Hotels. These hotels serve Muslim travelers in accordance with Islamic sharia law, and Islamic hospitality has evolved over the past two decades to become an important part of the hospitality industry. The characteristics of residence are divided into two main categories, those relating to the atmosphere of accommodation, comfort and recreation, and the other related to the attitudes and behavior of employees by meeting the religious needs of the Muslim tourist. The compliant hotels are characterized by the presence and facilities of worship, such as the provision of prayer mats in the rooms and the direction of the qibla, places separate for men from women, and the availability of Halaal food (Halaal food is no longer a regional practice limited to Islamic countries but has become an international demand and a key element in the hospitality




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industry). Food is crucial for Muslim tourists when they visit other countries, banning alcohol consumption and gambling, including removing alcoholic beverages from the tourist's rooms, removing any pornographic items such as television, etc., as well as including a copy of the Koran, removing some items from the rooms. Health and recreational facilities are separate for men and women, as well as hygiene, which is an important factor in the process of choosing housing since Muslims need clean bathrooms to perform ablutions and prepare to pray and read the Qur'an. 2-Halaal transport: Halaal transport (by land and air) should meet all requirements that conform to the principles and teachings of the Islamic religion, such as cleanliness, non-serving of alcoholic beverages, and any other things that are not in accordance with the teachings of the Islamic faith. 3-Halaal places: Foods served in restaurants and tourist facilities must be sharia-compliant, and aspects such as not using pork, slaughtering non-Halaal, and other things that are prohibited by Islamic law are considered. 4-Halaal tour packages: Tour packages must contain topics that conform to the principles of Islam and do not conflict with it, and tour packages must include visiting museums, monuments, recreational places and all tourist destinations available, provided that they are not contrary to Islamic teachings, and festivals and events which are held during religious events. 5-Halaal Finance: The financial resources of the hotel, restaurant, travel agency and airlines must be appropriate to Islamic principles, and in general, Islamic finance requires participation in the sharing of profits and losses among all parties involved in this financial project, Islamic finance also prohibits Interest and riba. Competition in the Halaal Tourism Sector It has become a well-established belief that the issue of competitiveness is an effective tool and means of developing the economy in general, and the economic sectors are particularly individual, and a criterion for assessing economic performance to identify strengths and weaknesses. In recent years, tourism has become subject to a lot of competitiveness, and many countries that rely on tourism have measured and know how competitive they are in the tourism markets at the regulatory and cultural levels. All states need to know their share of global markets, and then to identify their strengths and weaknesses, for the purpose of developing future strategies. The World Organization for Competitive Tourism is known as the driver of the notion that it is a state's ability to generate wealth and potential that surpasses its competitors in global markets (Khaghaany, Kbelah, & Almagtome, 2019). Tourism competitiveness refers to an increase in the wealth of nations and production, which ultimately means increased economic growth rates. The more the tourism competitiveness of the state, the greater its contribution to income generation and output, and the greater the contribution of tourism to economic growth, and the lower the competitiveness of tourism. The state has reduced the contribution of tourism to increasing wealth and thus has lessened the contribution of the tourism sector to the economy. International institutions have been interested in preparing special reports on competitiveness, and in this context the World Economic Forum has begun to issue its annual reports on the competitiveness of the tourism and travel sector at the international level so as to determine the competitiveness of the tourism sector of countries. The World Economic Forum released its first report on the competitiveness of tourism and travel in March 2007, highlighting the importance of the report in that it ranks countries in an indicator that reflects the availability of a tourism-supporting environment in terms of systems, procedures, infrastructure and natural resources. For the travel and tourism competitiveness Index (TTCI) of three sub-indicators: regulatory




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framework, business environment, infrastructure, human, cultural and natural resources, sub-indicators also contain 13 elements representing the hubs of tourism assessment in countries. The index is calculated using statistical and survey data, i.e. data (quantity and quality) covering 124 countries worldwide, including 10 Arab countries (Gadkarim, 2012). Like tourism competitiveness reports, many organizations have developed initiatives to develop standards for evaluating the performance of Islamic tourist destinations, and the Global Muslim Travel Index (GMTI) is prepared by MasterCard (a technology company specializing in the manufacture of Financial Payments and Crescent Rating (a leading Halaal tourism body that prepares, research, consulting and training in Halaal tourism) is one of the most well-known initiatives in the field. These companies began analyzing the Halaal travel market from 2011 to 2017 and the Global Travel Index consisted of four main areas (easy access 10%, communication 15%, environment 30%, services 40%) In 2018, four new standards were introduced, while three existing standards were updated with new standards, strengthening the GMTI while maintaining the index's core objectives, as well as providing tourism boards, economists and providers. Travel services, stakeholders, investors and industry professionals are comprehensive standards that allow tracking the health and growth of this sector as well as destinations that measure the services, they provide in order to better meet the needs of Muslim travelers.

Unique experiences

Incoming tourists

Digital technology

Visa requirements

Air connectivity

Chart (1)Islamic World Travel Index

(GMTI 2018)

Figure 1. Islamic world travel index Source: (Raja, Imaizumi, Kelly, Narimatsu, & Paradi-Guilford, 2013)

It should be noted that 130 countries were studied and ranked under this indicator for 2018 and of these destinations, which were included in the classification, 48 member states of the Organization of Islamic Cooperation and 82 non-member countries were included. Main destinations for Islamic tourism Based on traditional standards in the tourism industry, over the past year's European countries such as France and Spain, along with the United States and China, have been the most attractive




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countries for tourists to visit. As for the index of competitiveness in Islamic tourism, according to the results for 2018, Malaysia ranked first, followed by Indonesia, the UAE and Turkey, and in fact, nine out of 10 countries are members of the Organization of Islamic Cooperation, while Singapore ranked first as the best destination. Tourism in countries outside the Organization of Islamic Cooperation.

Table 1. Top 10 destinations in 2018 in the OIC countries

Countries of the Organization of Islamic Cooperation

Countries outside the Organization of Islamic Cooperation

Sequence Destination Performance Index

Sequence Destination Performance Index

1- Malaysia 80.6 1- Singapore 66.2

2- Indonesia 72.8 2- Thailand 56.1

3- UAE 72.8 3- United Kingdom 53.8

4- Turkey 69.1 4- Japan 51.4

5- Saudi Arabia 68.7 5- Taiwan 49.6

6- Qatar 66.2 6- Hong Kong 49.6

7- Bahrain 65.9 7- South Africa 47.7

8- Oman 65.1 8- Germany 45.7

9- Morocco 60.7 9- France 45.2

10- Kuwait 60.5 10- Australia 44.7

At the level of the four main indicators, the following table shows the top 10 tourist destinations for each of these indicators. Table 2. Top 10 tourist destinations for each of the 2018 World Islamic Travel Index's key indicators

Accessibility index Contact indicator Travel Environment Index Service Enable-To-Be

Sequence Destination Sequence Destination Sequence Destination Sequence Destination

1- Turkey 1- Malaysia 1- Singapore 1- Malaysia

2- Malaysia 2- Indonesia 2- UAE 2- Indonesia

3- Singapore 3- Singapore 3- Turkey 3- Saudi Arabia

4- UAE 4- Thailand 4- Malaysia 4- UAE

5- Hong Kong 5- Japan 5- Hong Kong 5- Egypt

6- Germany 6- UAE 6- Saudi Arabia 6- Turkey

7- Netherlands 7- New zealand

7- Kazakhstan 7- Qatar

8- France 8- Brunei 8- Spain 8- Oman

9- United Kingdom

9- Bahrain 9- Japan 9- Bahrain

10- South Korea 10- Australia 10- Bahrain 10- Iran

Through table (2), the dominance of Asian countries (Malaysia, Singapore) is evident in indicators (communication, travel-friendly environment, service empowerment) while Turkey has been at the forefront of the accessibility index. At the regional analysis level of the Global Travel Index (GMTI), by comparing average results, Asia remains the leading region in attracting tourists wishing to choose destinations compatible with the principles of Islam, followed by Oceania and then Africa, followed by Europe and the Americas respectively.

Table 3. GMTI Regional Analysis

Pointer Americas Europe Africa Oceania Asia Average Index GMTI

Visa requirements 63 59 63 62 70 63.9




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Air connectivity 5 32 17 20 49 27.8

Transport infrastructure 28 47 16 49 36 33.0

Awareness of the requirements of the Muslim tourist

3 11 20 33 33 18.3

Easy communication 24 22 27 43 38 28.6

Digital Technology 10 22 11 22 29 19.11

Safety and security 74 75 78 83 84 78.5

Incoming tourists 2 11 11 4 24 912.

Environment 40 71 24 66 48 47.5

Places of prayer 22 29 69 26 72 49.4

Halaal Eating 26 36 52 41 65 46.1

Accommodation 24 26 25 25 40 29.5

Airport facilities 22 24 31 39 62 36.5

Unique experiences 10 17 9 12 14 12.8

Source: (Raja et al., 2013)

The current state of the global market for Islamic Tourism At the global level, the tourism sector is one of the largest economic drivers and contributes to economic progress, and the economic importance of the tourism sector is increasingly evident through the direct effects of increased national income, job creation, and its impact on the balance of payments, the provision of foreign revenues to the country and the indirect effects of (tourism multiplier, revitalization of production and investment) and the induced effects of the benefit of other sectors associated with the tourism sector. The following table shows the different components of the direct, indirect and economically derived effects of tourism.

Table 4. Various components of direct, indirect and induced tourism impacts on the economy

Direct Contribution of Tourism

Industries -Accommodation services -Food and beverage services -Retail -Transport services - Cultural, sports and recreational services

Goods -Accommodation -Transport

- Entertainment - Attraction

Sources of expenditure

-Local resident expenditure -Local business travel spending -Visitor exports -Government spending on tourism and travel

Indirect Contribution of Tourism

- Private tourism investment spending -Total government spending on tourism - Impact of purchases from suppliers

Induced Contribution of Tourism

- Food and beverages - Entertainment - Clothes - Housing - Household goods

Source: (Lemma, 2014)

The United Nations World Tourism Organization United Nations and the World Tourism Council (WTTC) estimate that the tourism sector has contributed about $2.3 trillion and 319 million jobs worldwide. His is taking into account the wider indirect and induced impacts, it contributed nearly $8.8 trillion to the global economy in 2018, equivalent to 10.2% of the world's GDP, and about 1




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to 10 of all jobs globally. The direct contribution of tourism and travel has grown employment by 3.9% in 2018, which means that nearly 2 million additional jobs were created directly by the sector, and about 6 million new jobs were created as a result of total direct, indirect and induced activity. This means that approximately 1 out of 5 of all new jobs that had been Created in 2018 were linked to travel and tourism. The tourism and travel sector is an export sector, attracting foreign spending to a country in the form of international visitors, and in 2018, global visitor exports accounted for 6.6% of total world exports (a total of US$1.4 trillion) and about 30% of total world service exports. The contribution grew travel and direct tourism in GDP by about 3.1% in 2018. This was faster than the global economy as a whole, which grew by 2.5%, which meant that for six consecutive years, the travel and tourism sector outperformed the global economy, along with the tourism sector outperforming many other major global economic sectors, specifically, overall growth. Direct GDP for travel and tourism is stronger than the growth recorded in financial and commercial services, manufacturing, public services, retail, distribution and transport sectors, but it was marginally slower than growth in the telecommunications sector during 2018 (Council & Green, 2017). Similar to the broad growth of the tourism sector, and in line with the growth of other sectors of the Islamic economy, the Islamic tourism sector (Muslim-friendly tourism) has seen remarkable growth, with some 1.6 billion Muslims around the world (expected to reach 2.2 billion in 2030). The tourism market has seen Islamic tourism grow rapidly and it has remarkably expanded and emerged as one of the fastest growing tourism markets, with Halaal tourism revenues of about 142 billion in 2014 (representing almost 8% of the world tourism market) compared to $80 billion in 2006 (excluding hajj and umrah expenses of 20-25 $1 billion). In 2015, Islamic tourism revenues reached $151 billion (about 12.6% of the international tourism market) and a growth rate of nearly 4.9%, and continued to grow in 2016, bringing the total revenues of Islamic tourism to approximately US$169 billion (about 13.9% of the tourism market) globally, with a growth rate of almost 11.8% over 2015, almost double that of the global tourism sector. According to The State of the Islamic World Economy 2018, the Islamic travel and tourism market grew in 2017, with market spending increasing by nearly $10 billion to nearly $177 billion (accounting for nearly 15% of the global tourism market), and this revenue is expected to reach about $300 billion by 2030, making it one of the fastest growing sectors in the industry. At the regional level, regional distribution reflects the concentration of Halaal tourism activity and its orientation towards the Middle East and North Africa region, with the Middle East and North Africa region accounting for nearly one third of the market, followed by the Middle East and North Africa region and other regions. East Asia, Western Europe and Central Asia came in at 11.9%, 9.3% and 5.8%, respectively, while sub-Saharan Africa, South Asia, North America and other regions came in at 3.9%, 2.5%, 1.7% and 0.5% respectively.




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Figure 2. Regional Distribution of the Islamic Tourism Market 2018

The OIC countries are the main market group for the Islamic tourism industry globally. The OIC countries are the source of about 72% of public spending on Islamic tourism products and services, however, the numbers of Muslim tourists and tourism expenditures remain widely distributed. It is not surprising that the resource-rich countries of the Middle East are the main markets for Islamic tourism (Usmanova, 2018).

Table 5. Islamic tourism expenditures

2015 2017

Country Volume Country Volume

1- Saudi Arabia 19.2 1- Saudi Arabia 20.4

2- UAE 15.1 2- UAE 15.8

3- Qatar 11.7 3- Qatar 12.4

4- Kuwait 9 4- Indonesia 9.7

5- Indonesia 9 5- Kuwait 9.6

As seen from the table, Saudi Arabia topped the list of Islamic tourism expenditures to reach spending of approximately $20.4 billion in 2017 compared to about $19.2 billion in 2015, followed by the UAE and Qatar with spending of about $15.8 billion and $12.4 billion respectively in 2017 compared to 2017, with $15.1 billion and $11.7 billion in 2015. The future of Islamic Tourism Over the past two decades, the Islamic lifestyle market has been growing remarkably, with the total assets of the Islamic finance sector amounting to approximately $2.4 trillion, while spending amounted to about $2.1 trillion in 2017, of which the food and beverage sector accounted for about 1.3 trillion dollars. Yelon dollars, the garment sector is nearly $270 billion, the media and entertainment sector is about $209 billion, the tourism sector is nearly $177 billion, the cosmetics sector is $87 billion, and pharmaceuticals are still growing rapidly, especially in light of the crises that the capitalist economy suffers from. The Islamic economy has proved to be keeping pace with the latest developments at the technical and technological level as long as it does not contradict the teachings of Islamic law (Reuters & Standard, 2018). In this context, Shariah-compliant products and services (such as Halaal food, peace tourism and Islamic finance) have become an important component of the global economy, and as awareness increases and the number of Muslim tourist's increases, many players in the tourism industry have begun to offer

30,7

14,5

11,6

9,3

5,8

4,9

2,5 1,7 0,5 Middle East and NorthAfrica - Gulf CooperationCouncil CountriesMiddle East and NorthAfrica - Other Regions

East Asia

Western Europe




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products and services. In particular, it was developed and designed in accordance with Islamic principles, to meet the needs and demands of these tourists. Islamic tourism has thus emerged as an answer to the needs of the Muslim population intended to remain within their cultural and religious environment. However, although much attention has been attracted around the world, Islamic tourism is a relatively new concept in theory and tourism practice, and it is not surprising that Islamic tourism activity remains highly concentrated in Muslim-majority countries. These are currently considered to be the main markets are the source of Islamic tourism expenditures and popular destinations, as Islamic tourism is well suited to these countries because most of them already have a basic environment that exists to meet the specific needs of Muslim tourists, and therefore they have a comparative advantage over other countries. Nevertheless, Islamic tourism is a new phenomenon, and despite all the positive developments, the Islamic tourism market remains fragmented by the diversity of the term Halaal, income level and level of awareness. These are among the main obstacles that need to be addressed. In 2017, the Organization of Islamic Cooperation (CESIC) conducted a survey targeting representatives of the accommodation sector (i.e. hotel establishments) and the survey produced results that make things very clear. The survey was designed to identify the most significant challenges faced by hotel owners in adopting Islamic tourism in countries. According to the results of the survey, the procedures for obtaining Halaal certification were considered a list of challenges by 40%, and then by a close proportion the risk of alienating non-Muslim tourists from their hotels 39%, as about one third of the survey targets mentioned barriers related to the costs associated with obtaining certificates for Halaal. Staff training and facilities need to be adapted to Islamic tourism products and services. These results reflect the importance of providing some signals that will be a catalyst in policy-making processes in pursuit of the development of the Islamic tourism sector in the OIC member states (Heydari Chianeh, Del Chiappa & Ghasemi, 2018). Accordingly, a number of challenges to the development of Islamic tourism in the future for tourists can be identified as follows: 1. Financial constraints: As one of the newly emerging elements of the global tourism

industry, Islamic tourism has not received sufficient financial resources, and increased success stories may prompt investors to pay due attention to this emerging sector by considering its potential and growing market size.

2. Gender: In many Muslim-majority countries, the employment of females in the tourism sector is a problem for various social and cultural reasons, and a large proportion of the Muslim workforce globally is affected by existing gender arrangements, which in turn are an obstacle to development of the Islamic tourism market.

3. Disparities in the impact of Islamic values and beliefs: there are important differences among OIC countries on understanding Islamic values and beliefs and their impact on individuals, and these disparities are also reflected in their policies for the development of their tourism sector, while some are dealing with the organization's countries are comfortable with tourists and welcome them in the best way, some of whom have a certain degree of discretion and do not pay serious attention to them.

4. Weak promotional and marketing activity: Despite the importance of the tourism industry in general and Islamic tourism in particular through direct and indirect effects, it is noticeable in most Islamic countries that there is an absence and weakness in the promotional and marketing activity of Halaal tourism. Tourism marketing and promotion is an ongoing and regular process of marketing the tourism product to the tourist areas and the services provided there, with the aim of building a beautiful and positive image of the country as a tourist destination, thereby enhancing the climate of confidence among visitors and tourists, and increasing tourist demand. It also plays an important role in the




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economies of countries, especially those with tourism assets, and in light of the intense competition between countries, and also in light of the diversity of types and types of tourism, marketing has become a central role in attracting tourists to it. The success of tourism marketing means the success of the tourism country, as it contributes to achieving a range of advantages for all parties to the exchange process of tourists and tourist facilities, which leads to material benefits for both parties, as well as its role in driving the development and economic growth of the host country. However, most of the countries that have the ingredients for Islamic tourism are clearly weak on the subject of tourism marketing, which requires addressing. This important issue, by directing promotion and marketing programs towards targeting segments of the Islamic tourism markets, is vital so that they can increase the focus from the world's tourism markets.

5. Security and terrorism challenges: security, political and economic stability is one of the most fundamental components and pillars of the process of growth and economic development, and any imbalance in these pillars would disrupt the process of economic growth. In the last two decades of the last century, the world has witnessed the growing phenomenon of terrorism, security and political instability in many Arab and Islamic countries, and the tourism sector as one of the most important and reliable economic sectors in many countries to achieve progress and economic development. It is one of the fastest and most economically vulnerable sectors to the troubled environment, security and political instability and terrorist attacks, as tourism is often about leisure, recreation and rest. Problems related to the security of tourists, whether occurring or anticipated, adversely affect the reputation of the host country, and, in the end, the spread of negative expectations and the instability of security play a negative role in tourism.

Overall, despite the fact that there are a number of challenges and problems facing Halaal tourism in Islamic and Arab countries, it still has the opportunity to establish and develop a Halaal and Muslim-friendly Islamic tourism industry that is pioneering and sustainable through the adoption of medium and long-term strategies. The aim of the President is to develop tourism and increase its contribution to GDP. Therefore, it is true to believe that Islamic tourism, if properly planned and managed, can play an important role in stimulating economic development and growth and thereby spread prosperity, fight poverty and alleviate it, and also help in developing and diversifying the economy. Given the potential of Islamic countries (historical, cultural, natural, religious) they represent promising opportunities for this type of tourism to become a key pillar for economic development leading to sustainability through the following aspects: 1- Islamic tourism components for economic growth: since many countries already have the

basic infrastructure and environment to meet the requirements of Muslim tourists, they can benefit more from the Islamic tourism market, and therefore the development of the Islamic tourism sector can play a vital role in economic growth and prosperity in these countries.

2- Innovative tourism products: There are opportunities for Islamic countries to integrate hajj travel and traditional religious travel experiences with cultural and heritage activities to prepare unique and innovative tourist packages. For destinations with heritage and Islamic sites, there is a greater opportunity to develop and market their potential by designing Muslim-friendly cultural tourism programmers (Heydari Chianeh et al., 2018).

3- Increasing the volume of investments: The tourism sector is characterized by the presence of entanglements and relations of front and back link with many other sectors of economic activity, due to the complex nature of tourism, which includes several activities that contribute to the output of tourism. In this context, the tourism industry is highly capable of stimulating production and investment because of the complex effects of tourism demand from many goods and services to the key and secondary sectors that contribute to the manufacture of tourism products, which sometimes exceed 140 industries. Thus, the positive effects of




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tourism go beyond the borders of the tourism sector to reach the majority of the branches of the national economy (Usmanova, 2018). Thus, the tourism sector plays in stimulating investments, whether in the construction of factories and industrial facilities to produce the goods and services requested by the tourist, or in the field of infrastructure (transport, communications and tourist facilities) of good quality, which is a prerequisite for the development of tourism activity, and constitutes. The main pillar of the tourism development process is that it has integrated infrastructure, and infrastructure in countries such as Switzerland, Germany and Greece is almost the most important attraction.

4- The ingredients for achieving diversification of sources of income: In light of the abundant tourism potential of Islamic countries, and with continued growth and increasing demand for Shariah-compliant products and services, as well as the significant growth in the Islamic tourism market, Halaal tourism has become one of the most important economic options. To achieve economic diversification, by directing the economy to various and new sectors and markets, especially in light of the high flexibility and the many front and background interconnections that the tourism sector has with the rest of the economic sectors.

5- The basic elements of poverty alleviation, poverty reduction and job creation. Tourism is one of the largest job-generating sectors in many and diverse areas, tourism is a labor-intensive industry, the job creation rate in the tourism sector is about 1.5 times faster than in other sectors and tourism plays an important role in creating employment opportunities. Whether directly related to the exploitation of tourism destinations, i.e. within the tourism sector itself, such as tourism transport workers, tourism guidance, protection of tourists, preservation of their affairs, or indirectly, contributing to the creation of jobs in sectors that supply tourism with its needs for goods and services such as workers In infrastructure, agriculture, food trade, health care... etc (Fund, 2000; Nicolaides, 2020). The Islamic tourism sector also provides basic opportunities and requirements to build a better life for millions of people, by obtaining income generated by tourist activity within the country, engaging in society, achieving gender equality and social protection.

Conclusion The tourism sector is currently one of the world's most prominent and largest generators of foreign exchange and job creation, and a major supporter of economic growth, either directly or indirectly, or through the induced effects it produces on other economic sectors. The tourism sector contributed $2.3 trillion and 319 million jobs worldwide, taking into account the wider indirect and induced impacts, and contributed nearly $8.8 trillion to the global economy in 2018, equivalent to 10.2% of GDP in the world, and about 1 to 10 of all jobs globally. Halaal tourism is a new product of the Islamic markets and tourism industry, and a dynamic and dynamic market with economic, social and cultural dimensions, providing opportunities to build a better life for millions of people, providing access to incomes, and providing employment opportunities, especially for young people. Islamic tourism revenues in 2015 amounted to $151 billion, rising to about $177 billion in 2017 with a growth rate of almost 11.8%, almost double that of the global tourism sector. Revenue is expected to reach about $300 billion by 2030, making it one of the fastest growing sectors in the industry. The Organization of Islamic Cooperation (OIC) is the main market group for the Islamic tourism industry globally, with the organisation’s countries accounting for 72% of public spending on sharia-compliant tourism and travel. Therefore, it important to activate and design medium and long-term tourism policies and strategies aimed at developing and diversifying the pattern of Halaal tourism, making it one of the main pillars supporting economic growth. It is necessary to work on the diversification of tourism products and to activate and diversify programs, packages and tours compatible with Islamic law and develop them, especially in light of the historical, cultural and natural possibilities of Islamic




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countries. In addition, it essential to establish a tourism guide for Halaal tourism products, especially in the Countries of the Organization of Islamic Cooperation, where all information about hotels, restaurants and tourist facilities located in the countries of the region is available. Moreover, the public and private investment must be sought and encouraged in the tourism sector and other related sectors, as it is important to increase the number of tourists, increase the volume of foreign revenues and achieve economic development. Finally, it is important to keep the training and qualification of workers, and the development and training of administrative staff in accordance with the major developments witnessed by this type of tourism, and in a way that can meet the needs and requirements of the labor market. References Al-Wattar, Y. M. A., Almagtome, A. H., & AL-Shafeay, K. M. (2019). The role of integrating hotel sustainability reporting practices into an Accounting Information System to enhance Hotel Financial Performance: Evidence from Iraq. African Journal of Hospitality, Tourism and Leisure, 8(5), 1-16. Ali, M. N., Almagtome, A. H., & Hameedi, K. S. (2019). Impact of accounting earnings quality on the goingconcern in the Iraqi tourism firms. African Journal of Hospitality, Tourism and Leisure, 8(5), 1-12. Duman, T. (2012). The value of Islamic tourism: Perspectives from the Turkish experience. Islam and Civilisational Renewal (ICR), 3(4). Eddahar, N. (2018). Muslim friendly tourism branding in the global market. Retrieved from https://www.oic-oci.org/docdown/?docID=1772&refID=1071 Fund, A. M. (2000). Unified Arab Economic Report. In: Abu Dhabi: AMF. Gadkarim, H. A. (2012). Will the Sudanese paradox continue? Insecure investment climate and substantial foreign direct investment inflows: Chr. Michelsen Institute. Heydari Chianeh, R., Del Chiappa, G., & Ghasemi, V. (2018). Cultural and religious tourism development in Iran: prospects and challenges. Anatolia, 29(2), 204-214. Khaghaany, M., Kbelah, S. & Almagtome, A. (2019). Value Relevance of Sustainability Reporting Under Accounting Information System: Evidence from Tourism Industry. African Journal of Hospitality, Tourism and Leisure, 8(Special issue), 1-13. Lemma, A. F. (2014). Tourism impacts: evidence of impacts on employment, gender, income. EPS PEAKS, London, 2-3. Nicolaides, A. (2020). Sustainable Ethical Tourism (SET) and Rural Community Involvement, African Journal of Hospitality, Tourism and Leisure, 9(1). Nicolaides, A. (2016) Marian Tourism: Eastern Orthodox and Roman Catholic pilgrimage. African Journal of Hospitality, Tourism and Leisure, 5(4) Özgür, K. (2014). Internet and Halaal Tourism Marketing. International Periodical For The Languages. Literature and History of Turkish or Turkic, 9(8), 171-186.




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